Which of the Following Statements Is FALSE

question 11

Multiple Choice

Which of the following statements is FALSE?

• A)Primary shares are new shares issued by the company.
• B)Today,investors become informed about the impending sale of stock by the news media,via a road show,or through the book-building process,so tombstones are purely ceremonial.
• C)In a cash offer,the firm offers the new shares to existing shareholders.
• D)Historically,intermediaries would advertise the sale of stock (both IPOs and SEOs)by taking out advertisements in newspapers called tombstones.

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Definitions:

MRP Curve

The Marginal Revenue Product curve shows the additional revenue generated by employing one more unit of input or labor.

Wage Rate

The standard amount of pay given for work performed, typically expressed per hour, day, or piece.

Equilibrium

A balance between market demand and supply, resulting in steady prices.

Factor's Price

Refers to the price of inputs used in the production of goods or services, such as labor, raw materials, and capital.